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Strategies & Market Trends : Cents and Sensibility - Kimberly and Friends' Consortium -- Ignore unavailable to you. Want to Upgrade?

To: Andrew G. who wrote (4703)	5/12/1999 12:36:00 PM
From: Glenn Petersen	Respond to of 108040

Regards XSNI, we certainly could use more information. The economic model is different for the UK ISPs. The following is from a "Wired News" article: "Free ISPs Taking Over in UK" (2/17/99) wired.com "Like American freebie ISPs, the British service providers hope to get the bulk of their money from making their customers read a lot of banner ads before they can read their emails. But the British companies have a huge advantage. Thanks to the regulatory setup, British telecom carriers have to share a slice of the revenue from modem dial-up calls with the ISPs. In effect, the "free" ISPs get about 30 to 90 pence (about 49 cents to US$1.47) from the phone company for each hour a surfer spendsonline. No such arrangement exists in the United States; free American ISPs live and die by the ad revenue they can scrounge. It's no surprise, then, that in a country where an hour of even local calling costs a mini-fortune, a free ISP would have enormous appeal."